Blow to City as Initial Public Offerings at new low
Britain's stock market has suffered its worst first half of the year in decades, figures show.
Analysis by data provider Dealogic reveals that stock market debuts have raised just £150m in 2025 so far, down 78 per cent on 2024 and the lowest level on records going back to 1999.
There were just five London IPOs in the period, even lower than the desultory seven a year earlier, and the lowest level since 2009 when markets were in the grip of the financial crisis.
The figures will intensify disquiet over the state of the London market which has been hit by a flurry of departures to rival exchanges and takeovers by foreign predators – who have spotted bargains among the UK's undervalued stocks.
Fintech Wise recently announced it is upping sticks for New York, while hopes of a blockbuster float by fast-fashion giant Shein have evaporated as it plots a Hong Kong IPO instead. Tech firm Alphawave is among the UK-listed firms being snapped up.
The latest gloomy data covers a period when Donald Trump's announcement of swingeing tariffs on trading partners – on what he called 'Liberation Day' in April – battered market sentiment at at time when there was already a dearth of IPOs.
The worst of Trump's tariffs have since been put on hold.
But Samuel Kerr, global head of equity capital markets at Dealogic, said: 'Liberation Day was a nightmare for deal flow, with April the worst since 2011 for global deal volume.'
Charles Hall, head of research at Peel Hunt, said the figures highlighted what has been 'a theme for some time'.
The London Stock Exchange's woes have led to calls for measures to force British pension funds to invest more in the UK.
Hall added: 'If we don't have investment from domestic investors then we can't expect to have a healthy equity market. This is fundamental to the health of our economy.'
Simon French, chief economist at Panmure Liberum, said the Government 'should promote an equity ownership culture' drawing on the legacy of 1980s privatisation campaigns.
Russ Mould, investment director at AJ Bell, said the dearth of IPOs in the first half was not unique to London, with other global markets also struggling.
The figures come days after it emerged that, in a rare boost for the City, Norwegian software firm Visma is planning a £16billion London IPO – partly encouraged by reforms to the UK's listings regime.
Changes have been encouraged by a City task force set up to try to revive London's market. But LSE boss Julia Hoggett, who is spearheading the campaign, admitted in a speech last week: 'We still have not seen the real turning point in terms of risk capital within and into the UK.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
BBC News
36 minutes ago
- BBC News
Stroud park charges idea would 'put off' businesses
Businesses which use a park for professional activities, such as dog walking and personal training, say they would be put off from using the space if they were is one of the proposals included in Stroud District Council's (SDC) Stratford Park Vision and Ambition Development Plan, which sets out how to protect the space for future generations while encouraging more people to use it.A council spokesperson said blanket business charges were "at an early stage and required further development", and any revenue generated would be "reinvested in the park".But yoga teacher Oli Raeburn said "the whole beauty of having an outdoor space like the park is that it's free". The document states the authority does not know how many businesses currently use the Gloucestershire report author said charges could help cover the cost of any damage done to the space through commercial use and ensure proper insurance practices are in local authorities in England charge companies to use parks to contribute towards maintenance costs. But Ms Raeburn, who owns Yogi Oli and has run community yoga sessions in the park for six years, said any potential charges would make her think twice about using the site."It would massively impact me, especially as my classes [in the park] are donation-based," she said."As it's a community project, it would put me off using the park as it would make it less accessible."The whole beauty of having an outdoor space like the park is that it's free."Ed Mobs uses the park for his EM Power personal training bootcamp sessions."I would have to look for a different location as my business wouldn't be able to absorb the cost."It just wouldn't be viable for me," he contrast, Stroud residents have mixed views on the proposed levy. Colin Weston, who walks his dog in the park, said: "If it was for a business then I have no problem with that. The council's got to make money too."Park user, Charles Moore, added: "I think that parks have changed over the years and many years ago they were just places for recreation, but I think it's reasonable to expect people if they're using them for their businesses to make a contribution."But Eric Wilkinson believes no one should be charged to use the space. "I think it would be a retrograde step. It is a beautiful park which is open and accessible to so many people and it needs to be kept free and open to all," he said. Cinema and festivals The Stratford Park Vision and Ambition Development Plan was endorsed by councillors at a SDC meeting on 19 June and the strategy is set to run until report states the new strategy aims to make the park a "destination location" for communities to improve "health and well-being" and provide "cultural enrichment for all".Ideas put forward include creating "green way" corridors to connect the park to other open spaces in Stroud, hosting open air cinema and music festivals, launching a forest school and expanding the skate park and sensory a statement, a SDC spokesperson said: "The Stratford Park Development Plan provides a framework for officers to explore the park's full potential, drawing on ideas through extensive stakeholder consultations."Some proposals, including the introduction of business charges for commercial use, remain at an early stage and require further development."The next step will involve benchmarking similar practices in other districts."Any revenue generated would be reinvested in the park to support its ongoing improvement and ensure it continues to benefit all users."The plan has been described as a "framework" document, and the council will bring forward set proposals in the future, which will be consulted and voted on.
Reuters
37 minutes ago
- Reuters
IPO candidate Swiss Marketplace Group sees 13-15% revenue growth in 2025
ZURICH, June 30 (Reuters) - Swiss Marketplace Group, which is considering an initial public offering, said on Monday it expects to post revenue growth of about 13-15% in 2025 after logging revenues of around 291 million Swiss francs ($364.39 million) last year. The company, which operates online marketplaces, is ready to pursue its IPO, according to two people familiar with the matter. A company spokesperson said the process was in its early stages and that no formal decision had yet been made. SMG, of which media company TX Group holds a stake of 30.7%, said it also forecast adjusted EBITDA margin expansion at a percentage approaching the mid-50s for 2025, up from 48% in 2024. SMG intends to propose a dividend distribution of about 75 million francs for 2025, to be paid out in 2026. TX Group founded SMG in 2021 together with insurer Mobiliar, media company Ringier and private equity firm General Atlantic. ($1 = 0.7986 Swiss francs)
BBC News
37 minutes ago
- BBC News
South West drink producers embrace low-alcohol revolution
Drink producers across the South West are benefiting from a boost in sales of alcohol-free and no-alcohol products are the fastest-growing category across the UK, according to the British Beer and Pub Association (BBPA).Tarquin's Cornish Gin, in Wadebridge, now sells 10,000 bottles of zero-alcohol gin a year - about 2% of their annual overall Brewery, in Princetown, Devon, said it was investing in equipment to brew alcohol-free beer. 'Younger generation' The BBPA said the industry had adapted to changing habits with more than 425,000 bulk barrels of no and low-alcoholic beer, equivalent to 120 million pints, sold in is up 14% on 2022, when more than 370,000 bulk barrels were no and low-alcohol category continues to grow at a rapid rate year-on-year with 86% of pubs now serving a no and low-alcohol option, according to the BBPA. Ruth Huxley, managing director of the Great Cornish Food Store in Truro, said: "It is a real burgeoning part of the drinks industry, for sure."There is a lot of interest in drinking less alcohol, particularly for the younger generation."The industry has reacted and is producing more variety and a better quality of product."We have to respond to market demands." Southwestern Distillery, which makes Tarquin's Gin, launched a zero-alcohol gin-style drink last year."We sold 10,000 bottles last year... so it's a small but rapidly growing part of the business," said Sean Blackburn, strategic growth manager for Southwestern Distillery."It took us three years to perfect the recipe and there were certainly plenty of mistakes."Alcohol has a taste to it [that is] difficult to mimic but we are really proud of the drink."If you look to places like Germany and The Netherlands their low-alcohol beers and sprits are around 10% of the market so it looks like there's going to be a lot of growth." Steve Post, sales manager at Dartmoor Brewery, said the company was currently using a third-party company to brew its zero-alcohol product."But we are investing a lot of money into getting the equipment to make it here," he said."A few years ago the low-alcohol products didn't exist but now they are much better."I've done several blind tastings with people and most can't tell the difference between the zero-alcohol product and the real beer."
